The morning news. [volume] (Savannah, Ga.) 1887-1900, 1887-05-01
WALKING IN EACH STATE.
aTRMING HAM ATTACK THE
FOURTH CLAUSE.

sion of the Injury Worked to His
company by the New Interstate
I,aw-Other Alabamians Make On
slaughts on the Measure.
Nozzle. April S0.-At to-day's session Of
ME- Interstate Commerce Commission repre-
santatives from Birmingham, with petitions
asking for a suspension of the fourth section,
vva,o heard. James Bauron, Secretary and
Treasurer of the Tennessee and Alabama
Goal Iron and Railroad Company, was first
hoard He stated that the pig iron product
of Alabama was to-day 600 tons per day,
aud that it would shortly be 1,G00 tons
,bat there was no local consumption to
iusYify such product, and that it must seek
Es+ant market. The business of his com
amy was begun with informal contracts
extending over several years, under which
the railroads gave low rates in return for a
onorentee Of steady business, and under
these contracts the ralHoau business mad
steadily increased.
THEIR SALES CUT WAY DOWN.
.sSnce the bill went into effect instead of
making sales of 600 tons we have made sales
of not more than 100 tons, and these mostly
for shiplnent by water rates. The railroads
have adhered to their contracts with us
we have been placed on the basis of the
most favored customer and we have had
many concessions made us, There were
causes by which the rates of transportation
nf iron have been made contingent upon the
value OF the iron market. We have shipped
hv fine train and half train load at time
We want relief in such form as the COM
mission is able to give. IL through rates
cannot be continued we want the temporary
suspension made permanent. All now suffer
seriously, there is nothing imaginary about
jt.n
Judge Cooley-What capital is investod'
Mr. Banron-This is an aggregation of six
companies, whose capital stock is SIC, 100000
and bonded debt 100000.
CONDITION OF THE CAPITAL.
Judge Cooley-You mean that $40 900, 900
capital has been put in!
Mr. Bauron-Some stock has been sold at
n discount, but since that time some of the
money earned has been appropriated to the
CAPITAL stock account and the two have
about evenly balanced each other. The
company was at first composed entirely of
Engisfnlen, some 20O men or the North
of England, and formed the Southern States
Iron and Furnace Company. The Sewanee
Company was composed of Tennessee men,
fine Pratt Company of Tennessee and New
York gentlemen; the Alice of Alabama,
Tennessee and Kentucky men, and the Lynn
OF AIabamians and Tennesseeans. The origi-
nal Tennessee Coal and Railroad Company
embraced New York capital and is now
owned chiefly in New York, after passing
, through the hands of the Tennesseeans Some
of the works are outside the limits of Biz
mingham. Some 10,0 900 people are employed
outside in portions of our work who could
not be counted as part of Birmingham. We
own 10000 acres of coal lands. We have
invested in buildings and machinery not
less than $5,000,000
$4,000, 900 INVESTED.
Mr. Cooley-Do l understand that $16,-
100000 have been actually invested in lands
and property by your company!
Mr.. Bauron--YeS, sir.
Mr.. Cocley-Has the stock been subject to
changes in the market!
Mr.. Bauron-Yes, 1t is listed in Wall
street. 1t went up to 1l6. To-day it is not
more than As This was the result of the
REIMBURSEMENT, bringing in new works and
bringing in other stock The highest quota
ton after reorganization was rs. Since
then there has been steady decline. There
is no special reason for this except the gen
eral stagnation in the iron business. We
have not yet shut down any of cur business
because we have hope that the law will not
be enforced.
sTAGNATIoN CAUSED BY THE LAW.
Mr.. Cooey-Do you think stagnation has
been caused by the enforcement of the law
as to roads north Of the Ohio!
Mr.. Bauron-Most emphatically, do.
Mr.. Co0ley-Have you cut down any on
this account!
Mr. Bauron-Not vet sir. Now, as tc
our business, we do it entirely ON long ccn-
tracts
Mr. Bauron here gave reasons TO-. this
and added that there has been no over
production dur'r q the last eighteen months
Stocks, such as we make, are 10000 to
10000 tons less than heretofore.
Mr.. CoOley-As / understand you, as to
your business you expect to be crippled by
this act, but not by any over product OF
Tade3
Mr. Bauron--I know that II could say
IWouId deliver iron for three months Or fol
SIX moEthsa ST. Louis or Detroit at the old
rates of freight / know we could sell from
1900 TO 5000 tons inside OF the next twenty
days. We have competitors in New York
Sew England, Eastern Pennsylvania, in
Missouri, in Michigan, etc. These are leading
competitors
COMPARATIVE COST OF PRODUCTION.
Mr. Cooley-Should not the cost of max
ing iron at Birmingham be less than at those
competing points!
Mt ,on--Yes; expansion of clever
!oid III the last few years is sufficient proof
OF that fact
~ @OulGA lis III because OF these con
tracts with the railroads that You are able
W put your products in these competing
markets!
Mr. Bauron-Nes, sir.
Judge Cooley manufacturers in Mich
iSan pennsylvania, etc, regard this as Just
+ not the tendency to drive them out Of
businessl
>, THE AIN soF LEGISLATION.
M. bauron-Legislation is designed Il
prodllce the greatest good for the greatest
NUMBER. Whatever their opinion, the con
s smerS up there are fifty to one of the manu-
!acturerS and the consumers would hold III
thelr hands and bless q commission which
SHOULD aud them to get cheap iron, needed
1or every kind of industry.
Mr. Cooley--Are not these advantages
Sou ask for at the expense Of some other in
uuSIry OF the same soitl
sir. Bauron-I think not. The life of oui
IRON works is of limited duration: An il
Tue Last OF late have been established will
view of risk, and / submit that the
enforcement of the local rate is To put a wal
arouild each State, a policy which might be
equSlly applied to each county, and prov,
az lohgth to be preventive Of true inter
lhoEas Weird, of the Birmingham roll
ing nils; Thomas j. Mack, superintendent
VI the Eureka furnace. near Birmingham
IVA President Williamson, of tbs